North Carolina Down Payment Support Programs

Online Merchant account - These programs are the Mortgage Credit Certificate along with the Down Payment Assistance Program.

Should you meet the requirements for one of the plans and you also purchase a home between December 1, 2009 and January 1, 2009, you may also be eligible for the $8,000 tax credit only enacted into law in the Federal Economic Stimulus Plan.

First, who is a first-time Home Buyer? A first-time Home Buyer is someone who has not owned a house in the past three years. Here is the same qualifying definition.

What's a Mortgage Credit Certificate and Who Qualifies?

An MCC “reduces your tax liability predicated on a share of the mortgage interest that you pay.

Should you are eligible for the MCC, you can claim 20% of the interest you pay as a credit in your federal income taxes on your own mortgage. You can save up to $2,000 on your taxes.

You may have the ability to unite this with the $8,000 tax credit, should you qualify for 2009. This might reduce the tax liability of a buyer's .

Household income means the “gross income of the mortgagor and any individual anticipated to reside in the home who is 18 years of age or older.”

The income and house price limitations that apply in Durham, Orange and Chatham Counties are listed below.

MCC Income Limits 1 Person $61,500 2 Men $61,500 3 Persons $70,500 4 Individuals $70,500

MCC Sales Cost Limits New Home $220,000 Existing Dwelling $210,000

Home buyers that need help with their deposit and closing prices may be able to get down payment assistance - or, put simply, interest-free, deferred second mortgages up to $8,000. The purchaser just has to pay $1,000 of their own funds and the load would pay around $8,000 of the remaining balance.

This program has more stringent income limitations than the MCC program summarized above. Like the MCC program, it can be used together with the new $8,000 tax credit on house purchases between January 1, 2009 and December 1, 2009. The deposit help, nonetheless, can't be employed in conjunction with all the MCC. It is an either or scenario.

House price limits that apply in Durham Orange and Chatham Counties and the income are given below.

Down Payment Assistance Income Limits

1 Individual $39,950 2 Persons $45,650 3 Individuals $51,350 4 Persons $57,050

Down Payment Assistance Sales Price Limits New Dwelling $210,000 Existing Dwelling $210,000